Market Size of China Used Car Industry
| Study Period | 2019 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2019 - 2022 |
| CAGR | 12.68 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Need a report that reflects how COVID-19 has impacted this market and its growth?
China Used Car Market Analysis
The Chinese Used Car Market is valued at USD 57.42 billion, and it is expected to reach USD 104.3 billion in the next five years, projecting a CAGR of 12.68% during the forecast period.
Due to the COVID-19 pandemic and subsequent lockdowns, the market experienced a substantial decline. Despite the fact that buyers' reluctance to purchase new vehicles and lower cash reserves prevented them from doing so, the slump was not as significant as that of new car sales. However, the market is anticipated to resume its pace in the coming years as life returns to normal. Because public transportation can be risky, the pandemic made owning a car an unavoidable part of life. Before COVID-19, people who preferred public transportation are now potential buyers in the market for used cars.
There were approximately 17.59 million used cars sold in China in 2021, a 22.7% increase from 2020. This was because a large portion of the population planned to purchase a car after the virus subsided and mobility restrictions had been lifted. Taking into account the affordability factor and interest in SUVs, the Chinese used car market is expected to grow in the near future.
However, given the pandemic's employment uncertainty, pay cuts, and job losses, new cars are becoming increasingly out of reach for middle-class consumers. Used cars offer a viable and balanced alternative.Chinese authorities have instructed local governments to eliminate policies that prevent cross-regional sales of used cars in order to facilitate trade and increase consumption in the country.
